In a billing scheme, what is typically altered to commit fraud?

In a billing scheme, altering the costs assigned to services is a common tactic used to commit fraud. This practice involves manipulating invoices or billing statements to reflect inflated prices for goods or services that may not have been delivered or that may not represent the actual value of the services provided. By altering these costs, the perpetrator can create a situation where the company pays more than what is justified, resulting in financial gain for the fraudster.

In these schemes, the fraudster may create fake invoices or modify legitimate ones to charge the company for services or products that were never rendered or to charge excessive amounts. This type of fraud can be quite lucrative and is often difficult to detect if the alterations are made skillfully.

Understanding that billing schemes fundamentally revolve around discrepancies in pricing and costs associated with services is critical for individuals examining potential fraud. It highlights the importance of maintaining accurate and well-verified billing practices in order to safeguard against such fraudulent activity.